{
  "docId": "019dd923-622c-750b-8b99-4037ee85af93",
  "docSlug": "4c8f29888304",
  "documentTitle": "Skechers U.S.A., Inc. (SKX)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
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  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2022-07-19 00:00:00",
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  "pageNumber": 13,
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  "notes": "The slide uses red boxes to highlight the 60% and 32% figures, emphasizing the concentration of growth in specific segments.",
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      "kind": "callout",
      "text": "We believe Skechers' revenue growth over the past five years has largely been the product of two very simple and transitory catalysts. Approximately 60% of total revenue growth has come from the international wholesale business, and about half of that from China alone. Simply stated, Skechers had been a modest performer overseas until a single product line, D'Lites, exploded in Asia beginning in 2015. However, given the lower gross margin profile of this segment, this has been a headwind to profitability. Second, Skechers was very slow to embrace e-commerce and has finally put some effort behind the online channel. We view these two factors as largely played out, as Skechers has merely caught up with other leading consumer products companies.",
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      "kind": "callout",
      "text": "We believe Skechers' revenue growth over the past five years has largely been the product of two very simple and transitory catalysts. Approximately 60% of total revenue growth has come from the international wholesale business, and about half of that from China alone.",
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      "text": "Incremental Revenue: 60%",
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      "kind": "source-note",
      "text": "Source: Skechers 10-K filings for fiscal years 2008 through 2021",
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      "kind": "table",
      "text": "Skechers Revenue Growth Analysis: 2016 to 2021",
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      "kind": "title",
      "text": "It Appears That The Low Hanging Fruit Has Been Harvested; Future Gains Will Be Harder To Come By",
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      "beatName": "The Struggle",
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      "evidence": "The document presents various struggles faced by Skechers, including revenue slowdown and deteriorating profitability",
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      "parentBeatName": "Development",
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      "objective": "Revealing Skechers' China business performance",
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